These Are the Industries That Will Be Most Impacted by Trump's Steel and Aluminum Tariffs

President Donald Trump announced a proposed 25% tariff on steel and a 10% tariff on aluminum at a meeting with industry leaders on Thursday.

He tweeted about the “unfair and bad policy” on Thursday morning before the meeting.

Our Steel and Aluminum industries (and many others) have been decimated by decades of unfair trade and bad policy with countries from around the world. We must not let our country, companies and workers be taken advantage of any longer. We want free, fair and SMART TRADE!

Auto and Aerospace Industries

The increased cost of individual parts could create “a cascading effect that has fairly significant impacts on our industry’s global competitiveness,” Remy Nathan, vice president of international affairs at the Aerospace Industries Association told NPR.

The auto industry, which was already facing sales declines in the U.S., will also be especially impacted. Toyota, General Motors, and other car makers saw their shares drop after the news Thursday.

The American Automotive Policy Council voiced concerns about the “unintended consequences” of these tariffs, saying they will lead to higher prices in the U.S. compared to competitors in other countries.

“This would place the U.S. automotive industry, which supports more than 7 million American jobs, at a competitive disadvantage,” the AAPC said in a statement.

The higher price of steel will also impact the construction industry, which uses the material for beams, and the oil and utility industries, which rely on steel pipelines to build the energy infrastructure that serves American consumers.

Orrin Hatch responds to Trump: “Tariffs on steel and aluminum are a tax hike the American people don’t need & can’t afford. I encourage the president to carefully consider all of the implications of raising the cost of steel and aluminum on American manufacturers and consumers.”